Porter Five Forces
Porter Five Forces is a strategic business analysis framework developed by Michael Porter in 1979 to assess the competitive intensity and attractiveness of an industry. It analyzes five key forces that shape industry competition: threat of new entrants, bargaining power of suppliers, bargaining power of buyers, threat of substitute products or services, and rivalry among existing competitors. This model helps organizations understand their competitive environment and develop effective strategies.
Developers should learn Porter Five Forces when working on business strategy, market analysis, or product development projects, as it provides a structured way to evaluate industry dynamics and identify opportunities or threats. It is particularly useful for tech startups, product managers, and developers involved in competitive analysis or strategic planning, helping inform decisions about market entry, pricing, and innovation.